Subject: The federal regional haze rule requires states to
adopt plans to improve visibility in 156 Class I areas across the country.
Plans must address Best Available Retrofit Technology (BART) standards for
certain older industrial facilities built before 1977 by evaluating whether
they cause significant visibility impacts in wilderness areas and national
parks (Class I areas). If they do, the states must require new pollution
controls to be installed within five years.

DEQ’s current
rules, adopted in 2009, included new BART requirements for the PGE Boardman
Coal-Fired Power Plant. In April 2010, PGE asked DEQ to adopt less stringent
emission limits based on a 2020 closure date. DEQ instead proposed three
options with emission limits that would apply if PGE chose to close the plant
in 2015, 2018, 2020 or 2040 or later. The comment period for that rule proposal
closed on October 1. In late October, PGE proposed a new approach that would
require the Boardman facility to meet increasingly stringent emission limits,
close no later than Dec. 31 2020 and eliminate existing rules that allow the
plant to operate indefinitely. DEQ re-opened the public comment period until
November 15, 2010, to take public comments on this proposal.

On December 10,
2010, the Environmental Quality Commission adopted revised BART rules for the
PGE Boardman plant which included the stringent emission limits, permanent
closure by 2020, and repealing of the 2009 rules, subject to EPA approval.

Rules Coordinator: Maggie Vandehey—(503) 229-6878

340-200-0040

State of Oregon Clean Air Act
Implementation Plan

(1) This implementation plan, consisting of Volumes 2
and 3 of the State of Oregon Air Quality Control Program, contains control
strategies, rules and standards prepared by the Department of Environmental
Quality and is adopted as the state implementation plan (SIP) of the State of
Oregon pursuant to the federal Clean Air Act, 42 U.S.C.A 7401 to 7671q.

(2) Except as provided in section (3), revisions to the
SIP will be made pursuant to the Commission’s rulemaking procedures in division
11 of this chapter and any other requirements contained in the SIP and will be
submitted to the United States Environmental Protection Agency for approval.
The State Implementation Plan was last modified by the Commission on December
9, 2010.

(3) Notwithstanding any other requirement contained in
the SIP, the Department may:

(a) Submit to the Environmental Protection Agency any
permit condition implementing a rule that is part of the federally-approved SIP
as a source-specific SIP revision after the Department has complied with the
public hearings provisions of 40 CFR 51.102 (July 1, 2002); and

(b) Approve the standards submitted by a regional
authority if the regional authority adopts verbatim any standard that the
Commission has adopted, and submit the standards to EPA for approval as a SIP
revision.

NOTE: Revisions to the State of Oregon Clean Air Act Implementation
Plan become federally enforceable upon approval by the United States
Environmental Protection Agency. If any provision of the federally approved
Implementation Plan conflicts with any provision adopted by the Commission, the
Department shall enforce the more stringent provision.

OAR 340-223-0020 through 340-223-0080 establish
requirements for certain sources emitting air pollutants that reduce visibility
and contribute to regional haze in Class I areas, for the purpose of
implementing Best Available Retrofit Technology (BART) requirements and other
requirements associated with the federal Regional Haze Rules in 40 CFR §
51.308, as in effect on December 9, 2010.

NOTE: This rule is included in the State of Oregon Clean Air Act
Implementation Plan as adopted by the Environmental Quality Commission under
OAR 340-200-0040.

The definitions in OAR 340-200-0020 and this rule apply
to this division. If the same term is defined in this rule and OAR
340-200-0020, the definition in this rule applies to this division.

(1) “BART-eligible source” means any source determined
by the Department to meet the criteria for a BART-eligible source established
in Appendix Y to 40 CFR Part 51, “Guidelines for BART Determinations Under the
Regional Haze Rule”, and in accordance with the federal Regional Haze Rules
under 40 CFR § 51.308(e), as in effect on December 9, 2010.

(2) “Best Available Retrofit Technology (BART)” means
an emission limitation based on the degree of reduction achievable through the
application of the best system of continuous emission reduction for each
pollutant that is emitted by an existing stationary facility. The emission
limitation must be established, on a case-by-case basis, taking into
consideration the technology available, the costs of compliance, the energy and
nonair quality environmental impacts of compliance, any pollution control
equipment in use or in existence at the source or unit, the remaining useful
life of the source or unit, and the degree of improvement in visibility which
may reasonably be anticipated to result from the use of such technology.

(3) “Deciview” means a measurement of visibility
impairment. A deciview is a haze index derived from calculated light
extinction, such that uniform changes in haziness correspond to uniform
incremental changes in perception across the entire range of conditions, from
pristine to highly impaired. The deciview haze index is calculated based on the
following equation (for the purposes of calculating deciview, the atmospheric
light extinction coefficient must be calculated from aerosol measurements):

(4) “Dry sorbent injection pollution control system”
means a pollution control system that reduces sulfur dioxide emissions by
combining a dry alkaline reagent directly with the boiler exhaust gas stream to
enable the reagent to adsorb sulfur dioxide and be collected by the existing
electrostatic precipitator.

(5) “Subject to BART” means a BART-eligible source that
based on air quality dispersion modeling causes visibility impairment equal to
or greater than 0.5 deciview in any Class I area, at the 98th percentile for
both a three-year period and one-year period.

BART Requirements for the
Foster-Wheeler Boiler at the Boardman Coal-Fired Power Plant (Federal Acid Rain
Program Facility ORISPL Code 6106)

(1) Emissions limits:

(a) Between July 1, 2011 and December 31, 2020,
nitrogen oxide emissions must not exceed 0.23 lb/mmBtu heat input as a 30-day
rolling average, provided that:

(A) If the source submitted a complete application for
construction and/or operation of pollution control equipment to satisfy the
emissions limit in subsection (1)(a) at least eight months prior to the
compliance date of July 1, 2011, and the Department has not approved or denied
the application by the compliance date, the compliance date is extended until
the Department approves or disapproves the application, but may not be extended
to a date more than five years from the date that the United States
Environmental Protection Agency approves a revision to the State of Oregon
Clean Air Act Implementation Plan that incorporates OAR 340-223-0030; and

(B) If it is demonstrated by December 31, 2011 that the
emissions limit in subsection (1)(a) cannot be achieved with combustion
controls, the Department by order may grant an extension of compliance to July
1, 2013.

(b) Except as provided in section (3) below:

(A) Between July 1, 2014 and June 30, 2018, sulfur
dioxide emissions must not exceed 0.40 lb/mmBtu heat input as a 30-day rolling
average; and

(B) Between July 1, 2018 and December 31, 2020, sulfur
dioxide emissions must not exceed 0.30 lb/mmBtu heat input as a 30-day rolling
average.

(c) Between July 1, 2014 and December 31, 2020,
particulate matter emissions must not exceed 0.040 lb/mmBtu heat input as
determined by compliance source testing.

(d) During periods of startup and shutdown, the
following emissions limits apply instead of the limits in subsections (a)
through (c):

(B) Nitrogen oxide emissions must not exceed 0.70
lb/mmBtu, as a 3-hour rolling average; and

(C) Particulate matter emissions must be minimized to
extent practicable pursuant to approved startup and shutdown procedures in
accordance with OAR 340-214-0310.

(e) The Foster-Wheeler boiler at the source must
permanently cease burning coal by no later than December 31, 2020.
Notwithstanding the definition of netting basis in OAR 340-200-0020, and the
process for reducing plant site emission limits in OAR 340-222-0043, the
netting basis and PSELs for the boiler are reduced to zero upon the date on
which the boiler permanently ceases burning coal, and prior to that date the
netting basis and PSELs for the boiler apply only to physical changes or
changes in the method of operation of the source for the purpose of complying
with emission limits applicable to the boiler.

(2) Studies to evaluate compliance with the sulfur
dioxide emissions limits in paragraphs (1)(b)(A)-(B), and the potential side effects
of compliance with those limits, if required by section (3), must be completed
as follows:

(a) A plan to evaluate the sulfur dioxide emissions
limit in paragraph (1)(b)(A) must be submitted for Department approval by July
1, 2011, and the results of the evaluation must be submitted to the Department
by July 1, 2013;

(b) A plan to evaluate the sulfur dioxide emissions
limit in paragraph (1)(b)(B) must be submitted for Department approval by July
1, 2015, and the results of the evaluation must be submitted to the Department
by July 1, 2017; and

(c) Each study pursuant to this section (2) must:

(A) Evaluate whether a dry sorbent injection pollution
control system is technically infeasible, will prevent compliance with mercury
emissions limits under OAR 340-228-0606, or cause a significant air quality
impact (as that term is defined in OAR 340-200-0020) for PM10 or PM2.5;

(B) Evaluate a range of commercially available sorbent
materials that could be used in a dry sorbent injection pollution control system
to reduce sulfur dioxide emissions;

(C) Evaluate the potential for significant air quality
impacts for PM10 or PM2.5 as follows:

(ii) If modeling with screening meteorological data
pursuant to subparagraph (i) demonstrates that significant air quality impacts
for PM10 or PM2.5 will occur, perform modeling with site specific
meteorological data obtained from the installation of a meteorological
monitoring station, including one year of monitoring data for each study. The
meteorological monitoring station must be installed, certified, operated and
maintained, and the output of the meteorological monitoring station must be
recorded, in accordance with a plan approved by the Department;

(D) Evaluate the use of other sulfur dioxide pollution
control systems of equal or lower cost as a dry sorbent injection pollution
control system, including but not limited to the use of ultra-low sulfur coal,
if the study demonstrates that the use of a dry sorbent injection pollution
control system is technically infeasible, will prevent compliance with mercury
emissions limits under OAR 340-228-0606, or will cause a significant air
quality impact (as that term is defined in OAR 340-200-0020) for PM10 or PM2.5;
and

(E) If applicable, propose an emissions limit for
sulfur dioxide based on a 30-day rolling average that exceeds the limits listed
in paragraphs (1)(b)(A)-(B), based upon the reduction of sulfur dioxide
emissions to the maximum extent feasible through the use of a dry sorbent
injection pollution control system or another sulfur dioxide pollution control
system of equal or lower cost, including but not limited to the use of
ultra-low sulfur coal, provided that the emissions limit may not exceed 0.55
lb/mmBtu heat input as a 30-day rolling average.

(3) Between July 1, 2014 and December 31, 2020, sulfur
dioxide emissions may exceed the limit listed in paragraph (1)(b)(A) or (B), or
both, if:

(C) Cause a significant air quality impact, as that
term is defined in OAR 340-200-0020, for PM10 or PM2.5;

(c) Sulfur dioxide emissions are otherwise reduced to
the maximum extent feasible as described in subsection (2)(c); and

(d) The source’s Oregon Title V Operating Permit is
modified to include a federally enforceable permit limit reflecting the
requirements of subsection (2)(c), prior to the compliance date for the sulfur
dioxide emissions limit in paragraph (1)(b)(A) or (B) that will be exceeded;
provided that if the source’s Oregon Title V Operating Permit has not been modified
prior to the applicable compliance date, sulfur dioxide emissions may exceed
the emissions limit in paragraph (1)(b)(A) or (B) if the source submitted a
complete application to modify its Oregon Title V Operating Permit at least
eight months prior to the applicable compliance date and sulfur dioxide
emissions do not exceed the emissions limit proposed in its application (which
may not exceed 0.55 lb/mmBtu heat input as a 30-day rolling average).

(4) Compliance demonstration. Using the procedures
specified in section (5) of this rule:

(a) Compliance with a 30-day rolling average limit must
be demonstrated within 180 days of the compliance date specified in section (1)
of this rule; and

(b) Compliance with any 30-day rolling average limit
for sulfur dioxide that may be established pursuant to subsection (3)(c) must
be demonstrated within 180 days of the compliance date for the limit in
paragraph (1)(b)(A) or (B) that is superseded by the emissions limit
established pursuant to subsection (3)(c).

(5) Compliance Monitoring and Testing.

(a) Compliance with the emissions limits in subsections
(1)(a), (b) and (d)(A)-(B), and with any emissions limit for sulfur dioxide
that may be established pursuant to subsection (3)(c), must be determined with
a continuous emissions monitoring system (CEMS) installed, operated,
calibrated, and maintained in accordance with the acid rain monitoring
requirements in 40 CFR Part 75 as in effect on December 9, 2010.

(A) The hourly emissions rate in terms of lb/mmBtu heat
input must be recorded each operating hour, including periods of startup and
shutdown.

(B) The daily average emissions rate must be determined
for each boiler operating day using the hourly emissions rates recorded in (A),
excluding periods of startup and shutdown.

(C) 30-day rolling averages must be determined using
all daily average emissions rates recorded in (B) whether or not the days are
consecutive.

(D) The daily average emission rate is calculated for
any calendar day in which the boiler combusts any fuel. An operating hour means
a clock hour during which the boiler combusts any fuel, either for part of the
hour or for the entire hour.

(b) Compliance with the particulate matter emissions
limit in subsection (1)(c) must be determined by EPA Methods 5 and 19 as in
effect on December 9, 2010.

(A) An initial particulate matter source test must be
conducted by January 1, 2015.

(B) Subsequent tests must be conducted in accordance
with a schedule specified in the source’s Oregon Title V Operating Permit, but
not less than once every 5 years.

(C) All testing must be performed in accordance with
the Department’s Source Sampling Manual as in effect on December 9, 2010.

(6) Notifications and Reports.

(a) The Department must be notified in writing within 7
days after any control equipment (including combustion controls) used to comply
with emissions limits in section (1), and with any emissions limit for sulfur
dioxide that may be established pursuant to subsection (3)(c), begins
operation.

(b) For nitrogen oxide and sulfur dioxide emissions
limits in section (1) based on a 30-day rolling average, a compliance status
report, including CEMS data, must be submitted within 180 days of the
compliance dates specified in section (1).

(c) For any sulfur dioxide emissions limit that may be
established pursuant to subsection (3)(c), a compliance status report,
including CEMS data, must be submitted within 180 days of the compliance date
for the limit in paragraph (1)(b)(A) or (B) that is superseded by the emissions
limit established pursuant to subsection (3)(c).

(d) For particulate matter, a compliance status report,
including a source test report, must be submitted within 60 days of completing
the initial compliance test and all subsequent tests as specified in subsection
(5)(b).

(e) The Department must be notified in writing within 7
days of the date upon which the boiler permanently ceases burning coal.

(7) The following provisions of this rule constitute
BART requirements for the Foster-Wheeler Boiler: subsection (1)(a), paragraph
(1)(b)(A), subsections (1)(c)-(e), (2)(a) and (2)(c), and sections (3)-(6).

(8) The following provisions of this rule constitute
additional requirements pursuant to the federal Regional Haze Rules under 40
CFR § 51.308(e) for the Foster-Wheeler Boiler: paragraph (1)(b)(B),
subsections (2)(b) and (2)(c), and sections (3)-(6).

NOTE: This rule is included in the State of Oregon Clean Air Act
Implementation Plan as adopted by the Environmental Quality Commission under
OAR 340-200-0040.

(1) A BART-eligible source that would be subject to
BART may accept a federally enforceable permit limit or limits that reduces the
source’s emissions and prevents the source from being subject to BART.

(2) Any BART-eligible source that accepts a federally
enforceable permit limit or limits as described in section (1) to prevent the
source from being subject to BART, and that subsequently proposes to terminate
its federally enforceable permit limit or limits, and that as a result will
increase its emissions and become subject to BART, must submit a BART analysis
to the Department and install BART as determined by the Department prior to
terminating the federally enforceable permit limit or limits.

(3) The Foster-Wheeler boiler at The Amalgamated Sugar
Company plant in Nyssa, Oregon (Title V permit number 23-0002) is a
BART-eligible source, and air quality dispersion modeling demonstrates that it
would be subject to BART while operating. However, it is not operating as of
December 9, 2010, and therefore is not subject to BART. Prior to resuming
operation, the owner or operator of the source must either:

(a) Submit a BART analysis and install BART as
determined by the Department by no later than five years from the date that the
United States Environmental Protection Agency approves a revision to the State
of Oregon Clean Air Act Implementation Plan that incorporates OAR chapter 340,
division 223, or before resuming operation, whichever is later; or

(b) Obtain and comply with a federally enforceable
permit limit or limits assuring that the source’s emissions will not cause the
source to be subject to BART.

NOTE: This rule is included in the State of Oregon Clean Air Act
Implementation Plan as adopted by the Environmental Quality Commission under
OAR 340-200-0040.

(1) The owner and operator of the Foster-Wheeler boiler at the
Boardman coal-fired power plant may elect to comply with OAR 340-223-0060 and
340-223-0070, or with 340-223-0080, in lieu of complying with OAR 340-223-0030,
if the owner or operator provides written notification to the Director by no
later than July 1, 2014. The written notification must identify which rule of
the two alternatives the owner or operator has chosen to comply with. The owner
or operator may not change its chosen method of compliance after July 1, 2014.

(2) Compliance with OAR 340-223-0080 in lieu of complying with OAR
340-223-0030 is allowed only if the Foster-Wheeler boiler at the Boardman
coal-fired power plant permanently ceases to burn coal within five years of the
approval by the United States Environmental Protection Agency (EPA) of the
revision to the State of Oregon Clean Air Act Implementation Plan that
incorporates OAR chapter 340, division 223. If the boiler has not permanently
ceased burning coal by that date, the owner and operator shall be liable for
violating OAR 340-223-0030 for each day beginning July 1, 2014 on which the
owner or operator did not comply with OAR 340-223-0030. This liability shall
include, but is not limited to, civil penalties pursuant to OAR chapter 340,
division 12, which includes penalties for the economic benefit of operating the
facility without the required pollution controls.

(3) If, by December 31, 2011, the EPA fails to approve a revision
to the State of Oregon Clean Air Act Implementation Plan that incorporates OAR
340-223-0030 (concerning BART requirements based upon permanently ceasing the
burning of coal in the Foster-Wheeler Boiler by December 31, 2020), or OAR
340-223-0060 and 340-223-0070, then the compliance date of July 1, 2014 in
340-223-0060(2)(b) and (c) (sulfur dioxide and particulate matter emissions
limits) is delayed until three years from the date of EPA approval.

(4) Notwithstanding sections (1) and (3), if the EPA approves a
revision to the State of Oregon Clean Air Act Implementation Plan that
incorporates OAR 340-223-0030 (concerning BART requirements based upon
permanently ceasing the burning of coal in the Foster-Wheeler Boiler by
December 31, 2020), then OAR 340-223-0060 and 340-223-0070 are repealed,
compliance with 340-223-0060 and 340-223-0070 in lieu of complying with
340-223-0030 is no longer an alternative, and compliance with OAR 340-223-0030
or 340-223-0080 is required.

Alternative BART Requirements for
the Foster-Wheeler Boiler at the Boardman Coal-Fired Power Plant (Federal Acid
Rain Program Facility ORISPL Code 6106) Based Upon Operation Until 2040 or
Beyond

(1) Subject to OAR 340-223-0050, the owner or operator
of the Foster-Wheeler boiler at the Boardman coal-fired power plant may elect
to comply with this rule and 340-223-0070 in lieu of compliance with OAR
340-223-0030.

(2) Emissions limits:

(a) On and after July 1, 2011, nitrogen oxide emissions
must not exceed 0.28 lb/mmBtu heat input as a 30-day rolling average and 0.23
lb/mmBtu heat input as a 12-month rolling average.

(A) If it is demonstrated by July 1, 2012 that the
emissions limits in (a) cannot be achieved with combustion controls, the
Department may grant an extension of compliance to July 1, 2014.

(B) If an extension is granted, on and after July 1,
2014 the nitrogen oxide emissions must not exceed 0.19 lb/mm Btu heat input as
a 30-day rolling average, and the emissions limits of 0.28 lb/mmBtu heat input
as a 30-day rolling average and 0.23 lb/mmBtu heat input as a 12-month rolling
average no longer apply.

(b) On and after July 1, 2014, sulfur dioxide emissions
must not exceed 0.12 lb/mmBtu heat input as a 30-day rolling average.

(c) On and after July 1, 2014, particulate matter
emissions must not exceed 0.012 lb/mmBtu heat input as determined by compliance
source testing.

(d) During periods of startup and shutdown, the
following emissions limits apply instead of the limits in subsections (2)(a)
through (c):

(B) Nitrogen oxide emissions must not exceed 0.70
lb/mmBtu, as a 3-hour rolling average; and

(C) Particulate matter emissions must be minimized to
extent practicable pursuant to approved startup and shutdown procedures in
accordance with OAR 340-214-0310.

(3) Compliance demonstration. Using the procedures
specified in section (4) of this rule:

(a) Compliance with a 30-day rolling average limit must
be demonstrated within 180 days of the compliance date specified in section (2)
of this rule.

(b) Compliance with a 12-month rolling average must be
demonstrated within 12 months of the compliance date specified in section (2)
of this rule.

(4) Compliance Monitoring and Testing.

(a) Compliance with the emissions limits in (2)(a), (b)
and (d)(A)-(B) must be determined with a continuous emissions monitoring system
(CEMS) installed, operated, calibrated, and maintained in accordance with the
acid rain monitoring requirements in 40 CFR Part 75 as in effect on December 9,
2010.

(A) The hourly emissions rate in terms of lb/mmBtu heat
input must be recorded each operating hour, including periods of startup and
shutdown.

(B) The daily average emissions rate must be determined
for each boiler operating day using the hourly emissions rates recorded in (A),
excluding periods of startup and shutdown.

(C) 30-day rolling averages must be determined using
all daily average emissions rates recorded in (B) whether or not the days are
consecutive.

(D) 12-month rolling averages must be determined using
calendar month averages based on all daily averages during the calendar month.

(b) Compliance with the particulate matter emissions
limit in (2)(c) must be determined by EPA Methods 5 and 19 as in effect on
December 9, 2010.

(A) An initial test must be conducted by January 1,
2015.

(B) Subsequent tests must be conducted in accordance
with a schedule specified in the Oregon Title V Operating Permit, but not less
than once every 5 years.

(C) All testing must be performed in accordance with
the Department’s Source Sampling Manual as in effect on December 9, 2010.

(7) Notifications and Reports.

(a) The Department must be notified in writing within 7
days after any control equipment (including combustion controls) used to comply
with emissions limits in section (2) begin operation.

(b) For nitrogen oxide and sulfur dioxide limits based
on a 30-day rolling average, a compliance status report, including CEMS data,
must be submitted within 180 days of the compliance dates specified in section
(2).

(c) If applicable, a compliance status report for the
12-month rolling average nitrogen oxide limit in section (2)(a) must be
submitted by August 1, 2012.

(d) For particulate matter, a compliance status report,
including a source test report, must be submitted within 60 days of completing
the initial compliance test specified in section (4)(b).

NOTE: This rule is included in the State of Oregon Clean Air Act
Implementation Plan as adopted by the Environmental Quality Commission under
OAR 340-200-0040.

Stat. Auth.: ORS 468 & 468A

Stats. Implemented: ORS 468A.025

Hist.: DEQ 14-2010, f. & cert.
ef. 12-10-10

340-223-0070

Additional NOx Requirements for
the Foster-Wheeler Boiler at the Boardman Coal-Fired Power Plant (Federal Acid
Rain Program Facility ORISPL Code 6106) Based Upon Operation Until 2040 or
Beyond

(1) Subject to OAR 340-223-0050, the owner or operator
of the Foster-Wheeler boiler at the Boardman coal-fired power plant may elect
to comply with this rule and 340-223-0060 in lieu of compliance with OAR
340-223-0030.

(2) On and after July 1, 2017, nitrogen oxide emissions
must not exceed 0.070 lb/mmBtu heat input as a 30-day rolling average,
excluding periods of startup and shutdown.

(3) Compliance with the nitrogen oxide emissions limit
in section (2) must be determined with a continuous emissions monitoring system
in accordance with OAR 340-223-0060(3)-(4).

(4) The Department must be notified in writing within 7
days after any control equipment used to comply with the emissions limit in
section (2) begins operation.

(5) A compliance status report, including CEMS data,
must be submitted by January 1, 2018.

NOTE: This rule is included in the State of Oregon Clean Air Act
Implementation Plan as adopted by the Environmental Quality Commission under
OAR 340-200-0040.

Stat. Auth.: ORS 468 & 468A

Stats. Implemented: ORS 468A.025

Hist.: DEQ 14-2010, f. & cert.
ef. 12-10-10

340-223-0080

Alternative Requirements for the
Foster-Wheeler Boiler at the Boardman Coal-Fired Power Plant (Federal Acid Rain
Program Facility ORISPL Code 6106) Based Upon Permanently Ceasing the Burning
of Coal Within Five Years of EPA Approval of the Revision to the Oregon Clean
Air Act State Implementation Plan Incorporating OAR Chapter 340, Division 223.

(1) Subject to OAR 340-223-0050, the owner or operator
of the Foster-Wheeler boiler at the Boardman coal-fired power plant may elect
to comply with this rule in lieu of compliance with OAR 340-223-0030 if the
boiler permanently ceases to burn coal within five years of the approval by the
United States Environmental Protection Agency (EPA) of the revision to the
State of Oregon Clean Air Act Implementation Plan that incorporates OAR chapter
340, division 223.

(A) If the
source submitted a complete application for construction and/or operation of
pollution control equipment to satisfy the emissions limit in subsection (2)(a)
at least eight months prior to the compliance date of July 1, 2011, and the
Department has not approved or denied the application by the compliance date,
the compliance date is extended until the Department approves or disapproves
the application, but may not be extended to a date more than five years from
the date that the EPA approves a revision to the State of Oregon Clean Air Act
Implementation Plan that incorporates OAR 340-223-0030; and

(B) If it is demonstrated by December 31, 2011 that the
emissions limit in subsection (2)(a) cannot be achieved with combustion
controls, the Department by order may grant an extension of compliance to July
1, 2013.

(b) During periods of startup and shutdown, the
emissions limit in subsection (2)(a) does not apply, and nitrogen oxide
emissions must not exceed 0.70 lb/mmBtu, as a 3-hour rolling average.

(c) The Foster-Wheeler boiler at the source must
permanently cease burning coal by no later than five years after the approval
by the EPA of the revision to the State of Oregon Clean Air Act Implementation
Plan that incorporates OAR chapter 340, division 223. Notwithstanding the
definition of netting basis in OAR 340-200-0020, and the process for reducing
plant site emission limits in OAR 340-222-0043, the netting basis and PSELs for
the boiler are reduced to zero upon the date on which the boiler permanently
ceases burning coal, and prior to that date the netting basis and PSELs for the
boiler apply only to physical changes or changes in the method of operation of
the source for the purpose of complying with emission limits applicable to the
boiler.

(3) Compliance demonstration. Using the procedures
specified in section (4) of this rule, compliance with a 30-day rolling average
limit must be demonstrated within 180 days of the compliance date specified in
section (2) of this rule.

(4) Compliance Monitoring and Testing. Compliance with
the emissions limit in subsection (2)(a) must be determined with a continuous
emissions monitoring system (CEMS) installed, operated, calibrated, and
maintained in accordance with the acid rain monitoring requirements in 40 CFR
Part 75 as in effect on December 9, 2010.

(a) The hourly emission rate in terms of lb/mmBtu heat
input must be recorded each operating hour, including periods of startup and
shutdown.

(b) The daily average emission rate must be determined
for each boiler operating day using the hourly emission rates recorded in (a),
excluding periods of startup and shutdown.

(c) 30-day rolling averages must be determined using
all daily average emissions rates recorded in (b) whether or not the days are
consecutive.

(d) The daily average emission rate is calculated for
any calendar day in which the boiler combusts any fuel. An operating hour means
a clock hour during which the boiler combusts any fuel, either for part of the
hour or for the entire hour.

(5) Notifications and Reports

(a) The Department must be notified in writing within 7
days after any control equipment (including combustion controls) used to comply
with emissions limit in subsection (2)(a) begin operation.

(b) A compliance status report, including CEMS data,
must be submitted within 180 days of the compliance date specified in section
(2).

NOTE: This rule is included in the State of Oregon Clean Air Act
Implementation Plan as adopted by the Environmental Quality Commission under
OAR 340-200-0040.

Stat. Auth.: ORS 468 & 468A

Stats. Implemented: ORS 468A.025

Hist.: DEQ 14-2010, f. & cert.
ef. 12-10-10

Notes1.) This online version of the OREGON BULLETIN is provided for convenience of reference and enhanced access. The official, record copy of this publication is contained in the original Administrative Orders and Rulemaking Notices filed with the Secretary of State, Archives Division. Discrepancies, if any, are satisfied in favor of the original versions. Use the OAR Revision Cumulative Index found in the Oregon Bulletin to access a numerical list of rulemaking actions after November 15, 2010.